Unexpected Renovation Costs That Can Explode Your Budget
Home renovations can be a wonderful way to rejuvenate your living space. It can also turn into an endeavour that will blow your savings account to smithereens. If you’re considering renovating, but are yet to create your budget, prepare for the unexpected with some of Swoosh’s simple tips. These are some factors that may cause some unexpected renovation costs.
Think you can still live there?
You decide to embark on some form of home renovations. You do all the research you can, find the best contractors, the most cost-effective materials, and save up enough pennies to finally make your dream a reality. And on day one, the contractors tell you that they are either needing to shut off the water, peel up the floor, knock down walls, dismantle the kitchen, create paint fumes, or a combination of the above with many more along the way.
Suddenly, before work has even commenced, you realise that you aren’t going to be able to live in your home for a while. And if you don’t have some accommodating friends or family that can set you up on short notice, you are looking at some time paying for hotels. Beyond that, without your kitchen and pantry available, you will also have to account for your three-square-meals a day from an establishment that is guaranteed to charge more than you do at home.
Before settling on any home renovation agreement, ensure you have considered the logistical factors that come with your personal life. If not, you can find your renovation dream turn precipitously into an extended nightmare.
For the DIYers
This one is for the ‘do-it-yourself’ folk out there. Whether you have built up to a big home renovation job over years of practise, or you are simply diving head first into the challenge, all sorts of people across the country are getting their hands dirty giving it a crack. And they might think they have everything they could possibly need for the job in the garage. The big investments, like power tools, to the smaller, sundry expenses, such as paintbrushes and screws.
We understand that there is a sense of pride in doing work yourself, and you may build your budget around the materials you have at your exposure. However, down the line, you might come to accept that your home renovation will simply improve by purchasing a new piece of equipment. That’s why it is always prudent to extend your budget to factor in the possibility of needing to buy new tools.
The biggest benefit of hiring a professional to do your repairs is insurance. If they make a mistake or break something, their insurance will cover the expense. If they botch the job, they must come back and fix it. Not the case if you decide to do the job yourself.
This is one of, if not the, biggest benefit to hiring a professional. However, if you go another way, perhaps again taking on the job yourself or entrusting someone who isn’t insured and doesn’t agree to pay for damages prior to work being completed, you are essentially accepting the risk, and should budget for it (unless you’re ready to say goodbye to your nice things).
There’s an old saying: ‘if it can go wrong, it will go wrong’. And its good practise to prepare for it.
Imagine this scenario: you have your budget worked out perfectly to fix a minor dent in your floor. You have allocated every last cent to a specific function. You’ve taken into account the possible need to purchase more tools, or factor in repairs of existing property. Then, proud of your own forethought, you begin work carefree by plugging in your electric tools. And you blow a circuit. Perturbed, you are now forced to rework your budget and fork out extra money to fix the electrics. But once you get inside the walls, you come across some corrosion on your gas pipes. Infuriated, you spend even more money mending the pipes before your entire home explodes. And then when you go to fix the pipes…You get the picture.
Often times you don’t know there is problem until you start fixing another. This can spring up more than people realise. Better to be safe with some financial cushioning before starting renovations, than have to find some way to finance repairing the rest of your home.
Renovations get the better of your finances?
No matter how prepared we think we are, the unexpected can always come to bite us. When in the midst of renovations and in need of a financial injection, consider a personal loan from Swoosh. We offer amounts for up to $5000, along with fixed term repayment schedules, to help you with integration into your existing budget. Contact the team at Swoosh today to find out more.